Singapore Company Registration – Types of Business Structures in Singapore.
Singapore is one of the countries in the world, where you can setup a company in 60 min and start the business. Most of the company creation, payment for the name and registration everything happens in online and in a smooth way. Personally, we have seen and experienced the protection given to companies and startups is enormous and appreciable from Singapore government.
There are 4 main types of business structures to choose from. They are:
- Sole-Proprietorship (one owner) or Partnership (two or more owners)
- Limited Partnership (LP)
- Limited Liability Partnership (LLP)
Setting up a Private limited company in Singapore.
Now, we will explain how to register a Private limited company at Singapore.
Company registration needs the following
- Directors – Company directors can be any foreign national, but one of the directors should be Singaporean or a Singapore Permanent Resident. It is mandatory to have a local representation in the company.
- Shareholding and Share capital – You can start the company with a capital of S$1.
- Company Secretory – its mandatory to have a qualified company secretory after forming the company. He should be a Singaporean or a Permanent Resident of Singapore.
- Registered Address – Its mandatory. However there are few services companies that can give their company location address as yours for a fee.
- Company Name – You can search online and confirm the company name as part of the registration process.
Lets explain the steps to register a company at Singapore.
As we said before, the entire process is online. So keep the credit card for the online payments. In order to make the registration smoother keep the following documents ready based on the Shareholders and their nationality.
For individual shareholders
- Passport Copy
- NRIC or Residency card (For Singaporeans only)
- Residential address proof. (It could be drivers license, land owners lease agreement etc)
- Professional background, if any.
For Corporate shareholders in a company
If the shareholders are a corporate entity, then we need the following documents.
- Certificate of registration of the company that’s is expected to become a shareholder in new company.
- Company Extract that shows the details like Company Name, Registration Number and address. This document would also have paid-up capital details and shareholders etc.
- Authorized person to represent the company.
- An ownership structure chart that identifies the ultimate beneficial owners (UBO)
Lets follow the steps to register the company now.
- Company Name approval –
- First you confirm the Unique name for the company. This name is approved by ACRA.
- It’s a mandatory process and has few rules like Unique name, it shouldn’t have any trademark etc.
- Upload few necessary documents for the creation of company.
- Company constitution or articles of association. You can choose Singapore Constitution documents provided by ACRA.
- Signed consent forms of each directors
- Identification and Residential address proof for each Directors.
- Verification of identification of address proof of documents.
- Company registration with Singapore Company Registrar ACRA–
Once the above documents are submitted and accepted, the company can be officially registered with ACRA now.
You need to pay S$300 for this.
Once ACRA approves the company registration, we get the following documents.
- Certificate of company Incorporation – ACRA issues an e-certificate of incorporation with Unique Entity Number (UEN) on the date of incorporation. This document is sufficient to open Bank accounts and do the rest of registrations with other Government departments.
- Company BizProfile – ACRA also issues a summary of BizProfile with the below contents
- Company identification details such as company name, registration number (known as Unique Entity Number or UEN), incorporation date, etc.
- Principal activities
- Share capital
- Directors details
- Company secretary details
- Shareholders details
- Company address
- Compliance status
Additional important information to note
There are few more information that you need to be aware of.
- Opening a corporate bank account
You can apply for a corporate bank account with Bank of China (BOC), DBS Bank, Maybank, OCBC Bank, State Bank of India or UOB immediately after registration.
- GST Registration
You can register for Goods and Services Tax (GST) with the Inland Revenue Authority of Singapore (IRAS). In most cases, registering for GST is compulsory if the turnover of an entity exceeds $1 million for a continuous period of 12 months OR when the person operating the business reasonably expects the turnover to exceed $1 million for the next 12 months.
You may be liable for certain taxes such as income tax, corporate tax, and Goods and Services Tax (GST). Visit the IRAS website to determine your tax obligations.
- Application of Central Provident Fund Submission Number
If you intend to hire employees, you will require a CPF Submission Number (CSN) to make monthly Central Provident Fund (CPF) contributions for them. You can apply for a CSN with the CPF Board.